December 8, 2015 Randall S. Fiertz 

# County of Santa Cruz

COUNTY ADMINISTRATIVE OFFICE 701 OCEAN STREET, SUITE 520, SANTA CRUZ, CA 95060-4073 (831) 454-2100 FAX: (83 1 ) 454-3420 TOO: (831) 454-2123 SUSAN A. MAURIELLO, J.D., COUNTY ADMINISTRATIVE OFFICER

Director, Airport Compliance and Management Analysis Federal Aviation Administrat i on 800 Independence Ave., SW Washington, DC 20591 Subject: The Santa Cruz County Library Financing Authority Action Plan in Response to FAA Policy Change 79 FR 66282-01 Dea r Mr. Fiertz: This l etter is i n response to the Federal Av i ation Administration ' s (FAA) amendment of its Po li cy and · . Pro.cedwes ·· Concerning , ..th

. e .**~se '**  ..**of ,.** **rp<;>q :..** **Be ve,~u~**  ..• 11 

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. Ef FAA interprets
· restrict i ons on the use**.Pt:;'to c~l:tax~s** **.** on**avi~.tipn J~el:** **: {e** **~ceptJfiJ<~~i~ ~fW~t**  

### 911 : Deceli)ber.

30 , · 1987)

. to
. include

### spe~i?ll**S.ale$ tc:n<** **·. reverwe** **~ ~~r** **ved :** **fi. ~IT;l** **~V.i~ti ~f')** **;, fl-lel,** **· ,,** **:r;h~ ~**  

# f:AA requires aii · Jocal agencies y.J.hicJ;uece i ve sales tax re.v . enue 0n**a'(i<;~tion** · fJ.Jel to su . t?mit an action pla

. n by December 8, 201

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' 

# · . In California,·

.. loca l : taxes with restrictions as to their use are**-'~ sp~da** **t!-, tgxes"**  and requir.e two-th i rds voter approval. The voters i n Santa Cruz

. County app r ove(:J 

# a**~pecial .** **sal~s** tax to support the County's pub l lic library systems in 1996, and perrn . anently extended it in 2008. The Santa Cruz County Library Financing Authority (SCCLFA) receiv es approximate l y $2 , 500 annually from this special tax on aviation fuel sold at the C i ty of Watsonville municipa l airport. It would be a violation of the State Constitution to redirect revenue under this voter approved spec i al tax from the County's public library systems to the City of Watsonville for airport capital and operating costs. Accordingly, the SCCLFA will not be redirecting that tax revenue to the airport in compliance with the FAA's amendment. Incidentally, both the County of Santa Cruz and the City of Watsonville expend well in excess of $2 , 500 annually in general purpose revenue to support the Watsonville airport capital and operating costs, including but not limited to ..fire protection, public safety, emergency response , access to and from the airport on roads and public transportat ion, public · utility infrastructure, government-supplied employee services , health and safety oversight including Jood han(;!Jing and

. disposal, : and · mitigation

. of no ise
- and other el)v ir onn :r enta t. conc,:,erns , 

### : We hope
- and anticipate tha t you will ta k e this into consideration i n deterooiniog whetheu
- t,o pursue tt)is issue furthen'(ith regard to

### t~e r evenue the SCCLFA d

_

ep i. ves frQrl} spec i a L taxes · on , aviation fuel sold at the Watsonville Airport.

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### . SERVING THE COMMUNITY- WORKING FOR THE FUTURE 1'
. 

### : ' ; •**: ~**  r : .. l "::. ; ·, 1**~·: .**  : ) ,

### Randall S. F i ertz December 8 , 2015 Page 2
If you have any questions , please feel f ree to contact me at (831) 454-2100

. If I do not hear back from you, I will conclude that this letter suffices to effect ively state the SCCLFA's position on this issue. 

# Ve /)J! o;:; ;&

1 

### Carlos Palacios Assistant County Administrative Officer
cc: Auditor -Controller- Treasurer- Tax Collector County Counsel

SERVING THE COMMUNITY- WORK I NG FOR THE 

### FUTURE